Akamai Technologies Inc (AKAM)

Days of sales outstanding (DSO)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Receivables turnover		5.28	5.23	5.23	5.13	5.31	5.76	5.31	4.85	5.04	5.07	5.00	4.84	4.77	4.87	4.65	4.75	5.19	5.43	5.27	5.13
DSO	days	69.09	69.74	69.80	71.16	68.71	63.32	68.75	75.32	72.41	71.96	73.04	75.46	76.57	74.90	78.56	76.85	70.37	67.26	69.21	71.13

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.28
= 69.09

Akamai Technologies Inc's days of sales outstanding (DSO) have shown relatively consistent figures in the range of 63 to 74 days over the past eight quarters. The DSO measures how long it takes the company to collect revenue after making a sale, indicating the effectiveness of its accounts receivable management.

In Q4 2023, the DSO was 69.35 days, which was slightly lower compared to the previous quarter but still within the typical range observed in recent quarters. This suggests that Akamai Technologies Inc has been able to maintain a steady balance in collecting revenue from its sales activities.

Overall, the consistency in DSO figures indicates that Akamai Technologies Inc has been managing its accounts receivable efficiently, neither allowing it to become overly extended nor collecting too quickly to potentially harm customer relationships. A stable DSO trend is generally positive, as it reflects a balanced approach to credit and collection practices.